Climate Policy Foundations

From global agreements to local action: the governance architecture for climate solutions

Why Climate Policy Matters

🎯

The Problem

Climate change is a market failure—polluters don't pay full costs. Policy corrects this by aligning incentives with climate goals.

⚖️

The Challenge

Global problem, national sovereignty. Free riders benefit from others' action without contributing. Coordination is essential.

🔧

The Solution

Policy instruments—pricing, regulation, standards, incentives—drive mitigation, adaptation, and just transition at scale.

🌍 Interactive Climate Policy Timeline

Paris Agreement (2015-2020)

2015
Paris Agreement

Universal agreement to limit warming to well below 2°C, aim for 1.5°C

Major Milestone
2016
Rapid Entry

Agreement enters force in record time with broad participation

Success
2018
Katowice Rulebook

Detailed rules for implementing Paris Agreement transparency and accounting

Implementation
2019
Article 6 Progress

Partial agreement on carbon markets, key issues deferred

Mixed

Three Levels of Climate Governance

🌍 International: Coordination & Ambition

Paris Agreement sets global framework with Nationally Determined Contributions (NDCs), transparency mechanisms, and climate finance commitments.

Key institutions: UNFCCC, IPCC, Green Climate Fund, Climate Investment Funds

🏛️ National: Policy Design & Implementation

Governments translate commitments into law, regulation, and budgets. Carbon pricing, renewable mandates, efficiency standards, sectoral strategies.

Key tools: Legislation, taxation, subsidies, procurement, land use planning

🏙️ Subnational: Innovation & Action

Cities, states, regions often lead on climate action. Building codes, transit, urban planning, renewable procurement, adaptation measures.

Examples: C40 Cities, Regional climate alliances, local net-zero targets

🔍 Key Insight: Policy Effectiveness ≠ Political Feasibility

The most economically efficient policy (e.g., high carbon tax) may be politically impossible. Real-world policy design balances effectiveness, equity, administrative feasibility, and political viability. Understanding this tension is critical to advancing climate action.